Jatoil, H&WB to invest in jatropha projects

Australia’s Jatoil Ltd. and Philippines’ H&WB Corp. said they will invest as much as Php500 million (US$10.37 million) to develop up to nine jatropha projects in the Philippines. The farms will cover some 2,500 hectares (ha) in Nunungan, Mindanao. Jatoil and H&WB have forged an “expansion alliance” in May, aimed at developing an existing 100 ha jatropha plant nursery at Nunungan. With the partnership, the Mindanao project will be expanded to 500 ha over the next 12 months, the companies said. According to Jatoil Chief Executive Phil Hodgson, “A major attraction is that the Philippine government is very supportive of second-generation biofuel projects that do not compete with food crops and that can grow on marginal lands in poor regions.” The Philippine Biofuels Act of 2006 has secured local demand for alternative fuels, creating vast opportunities for investments in the commercial propagation of energy crops, the two companies said. (June 1, 2009)